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The Kudlow Report

News/Business. Larry Kudlow. Larry Kudlow provides his unique perspective on business, politics and investing. New.

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Gm 10, Boehner 9, John Boehner 7, Us 5, Washington 4, John 3, Larry Kudlow 3, Alabama 3, Joe Kernen 3, China 3, U.s. 3, Kayla Tausche 2, Florida 2, Germany 2, Europe 2, Louisiana 2, Joe 2, Michelle 2, Benghazi 2, Mississippi 2,
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  CNBC    The Kudlow Report    News/Business. Larry Kudlow. Larry Kudlow provides his  
   unique perspective on business, politics and investing. New.  

    December 19, 2012
    7:00 - 7:59pm EST  

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i want to thank all of you who went to @jimcramer on twitter and gave me the best, most educated questions to ask mr. robb from whole foods, wfm, when i post those ceos, you can come in, tell me to ask certain questions and i've got to tell you, i'm going to use them. all scripps, stay away, big resignations tonight. bull market somewhere, i promise to try to find it here on good evening. i'm joe joe kernen in for larry kudlow. the fiscal cliff, gun control in detroit dominating the news. >> there's no question about it. if you want a deal on the fiscal
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cliff, today was a very bad day. only duelling press conferences. no progress behind the scenes. we'll talk about it a a few minutes. >> i'm hampton pierce earson. >> and gm shares got a nice pop. is this the end of government motors. "the kudlow report" starts right now. first up tonight is president obama and house speaker john boehner escalate their war of words, new signs the fiscal cliff talks are on the brink of collapse. chief washington correspondent john harwood joins us from washington with the details. i look away for two seconds, john, and everything's falling
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astart. >> it looked a couple of days ago as if the two sides were getting closer. when president obama had a news conference at the white house today, he came out to talk about gun control measures in the wake of the connecticut tragedy, but the questions were mostly focused on the fiscal cliff. the president said he couldn't understand why john boehner was detouring to plan b because the differences are narrow enough that they can still work it out. >> i've said i'm willing to make some cuts. what separates suss probably a few hundred billion dollars. the idea that we would put our economy at risk because you can't bridge that gap doesn't make a lot of sense. >> the smackdown from john boehner came shortly afterwards. it was short and sweet. he spoke for less than a minute and he said the onus is going to be on president obama if we go over the fiscal cliff. >> tomorrow the house will pass legislation to make permanent tax relief for nearly every american, 99.81% of the american
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people. and then the president will have a decision to make. he can call on senate democrats to pass that bill or he can be responsible for the largest tax increase in american history. >> now bainor aides say they're confident they can pass their plan b, which would raise taxes only on incomes of a million dollars or more but president obama said today he would veto it. democrats say it can't pass the senate. i talked this evening to one senior republican aide close to the budget talks who said we may just have to take these show votes, go home for christmas, come back and cut the deal then but that's going to be cutting it, if he's right, very close to that december 31st deadline, joe. >> john, we'll talk tomorrow. a couple of comment, i don't know, maybe i missed -- i didn't see the president. i was wondering whether he threw down or what happened. base boehner -- anyhow, being thanks to you. will speaker boehner's fiscal
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cliff gambit pay off. robert, do you like costa or coasta? >> i like costa, i'm italian. >> anyway, washington editor for "the national review." jimmy, i love you and you come on all the time. i'm reading these notes and you, know, you're very slick but you know some of the stuff is not true. what are you talking about that rich people don't pay any national senior retirement, they pay nothing towards social security and nothing towards health care. they pay the maximum but because it's a small percentage of what they pay, you're saying they pay nothing, you're just conflating nothing with paying that it's cut off at $108,000 or whatever? >> no, my good friend, joe. clearly you didn't read all of my notes i sent in to the producer. there are five rates when it comes to earned income. what boehner, the speaker and
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president are dithering over are what those top rates are going to be, whether it's for people who make a million bucks or -- who cares? at the end of the day if you make $500,000 or higher, paying a little more isn't going to hurt you. that's not the problem here. barack obama and mitt romney ran a campaign for the last year. barack obama talked about one thing -- >> jimmy, this isn't about the campaign. this is about boehner's plan b. >> joe, do you want me to finish? >> yeah. >> your point about the campaign is great. my point is we're really here on capitol hill debating something different than the campaign. it's about boehner and plan b. does this change the debate? i think it does. i think obama is going to have to react to what the house republicans are doing and try to close this deal. >> bob or jimmy, will the house pass it? >> i think the house will pass it. the whip count is reportedly very close just on capitol hill. i think bainler get it passed and that puts the pressure on
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the senate and the president to come up with an appropriate response. >> it's weird, jimmy. they call it farsicle. nancy pelosi loved the idea for a while. i guess your idea is it doesn't have any spending cuts the president all along has been saying we need to make sure the middle class gets a tax hike. none of the middle class gets a tax hikend plan b. why is it such a farce? >> under what will be passed tomorrow, there is a middle class tax increase. the eic is taken out -- >> we're talking about marginal rates. gentlemen, gentlemen, these are facts. what is in that bill that boehner will send to the floor tomorrow, those tax credits are not in it. the point is john boehner is making his entire caucus walk the plank on the issue on whether or not millionaires and below don't have to pay any more taxes than anybody else. >> you say they're walking the
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plank. >> there's no eitc. what did he put in there? he put estate tax in there. >> if you look at what republicans are doing, you say they're walking the plank. isn't that a sign they're trying to compromise with the president? >> no, they won't cover. robert, i hate to break the news to you. all they're doing is taking a cover vote. that's all this is. >> do you remember when geithner told leaseman, i think he showed his hand a little, he said we are so ready to go over the fiscal cliff. are you absolutely sure in the back of the president's mind he wouldn't mind a little bit. all the things are there, there will be some defense cuts he'll never get. how do you know in the back of his mind he's just playing boehner for a fool? >> first of all, i don't think that the president is playing boehner for a fool. i feel bad for john boehner, i do. >> that's nice.
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i'm sure he appreciates that. >> i'm sure he really appreciates your sympathy. >> i know a lot of boehner's people. and john boehner is a really good guy. he just happens to have a rather crappy caucus and i think there a lot of republicans that would admit that that sit in my position. but it's simple, john boehner and barack obama are going to come up with a deal. it's going to be in the last week of the year. this is not the first time that a member of congress and a president have waited until the last me lastment to do something. but the idea that we're going to -- >> jimmy isn't what is most important is republicans are signaling they're trying to move to the center here, they're letting the tax rates expire on those making $1 million or more. it's between now and the end of the year does that threshold move? the republicans want a million dollars threshold on tax rates to expire, obama wants $400,000. where does that needle go in this final week? that's the question to me. >> fine, then let the needle move. i think it's going to be anywhere from $500,000 to
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$700,000 a year. >> i agree with you. >> if they do that is correct it's still dead in the senate. there it's nothing more than an insurance vote. >> don't you think harry reid will be under immense pressure? >> no, last time i read, harry reid increased his members by two members. >> most people who wear bow ties don't yell. you're very aggressive today. >> it's very frustrating to for me. you asked me my thoughts on why i think the rate debate is a farce. it's a farce. >> it is the central debate right now. it's all about race. that's why they call this plan b. >> man. okay, we got to go. this is good, though. i've never seen george will do that or jimmy rogers, mr. rogers, anyone. gentlemen, thank you. we really didn't rise above that well there but we're going to try later in the show. switching gears on top of talking fiscal cliff, president obama used the new conference
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today to get his gun control task force team together. cnbc's hampton pierceon joins us now with the details of that. >> how you doing, joe? >> concrete proposals to curb gun violence no later than january. that's the charge to president obama to a special task force to be led by vice president joe biden in the aftermath of the school children massacre in newtown, connecticut. biden, a long-time gun control advocate will lead a team of top administrative officials and representatives from outside groups. sensible gun rules, including an assault weapons bans, as well as examining mental health issues will be on the table zbp we're going to have to work on making access to mental health care at least as easy as access to a gun and look at a culture that all too often glorifies guns and violence and any actions we must
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take must begin inside the home and inside our hearts. >> and last night the nra broke its silence on the newtown tragedy saying it is prepared to take steps so that nothing like this ever happens again. no comment today from republican congressional leaders on the president's announcement. joe? >> okay, hampton. thank you very much. so our new gun control measures the solution. our next guest says not so fast. the rush to reduce the number of guns throughout could be very misguided. and don't forget larry's credo, free market capitalism is the best path to prosperity. "the kudlow report" is coming right back. ck. to the best vacation sp(all) the gulf! it doesn't matter which of our great states folks visit. mississippi,
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alabama, louisiana or florida, they're gonna love it. shaul, your alabama hospitality is incredible. thanks, karen. love your mississippi outdoors. i vote for your florida beaches, dawn. bill, this louisiana seafood is delicious. we're having such a great year on the gulf, we've decided to put aside our rivalry. now is the perfect time to visit anyone of our states. the beaches and waters couldn't be more beautiful. take a boat ride, go fishing or just lay in the sun. we've got coastline to explore and wildlife to photograph. and there's world class dining with our world famous seafood. so for a great vacation this year, come to the gulf. its all fabulous but i give florida the edge. right after mississippi. you mean alabama. say louisiana or there's no dessert. this invitation is brought to you by bp and all of us who call the gulf home.
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welcome back to "the kudlow report." i'm joe kernen in for larry kudlow. president obama called for a new gun task force today but the rush to reduce the number of guns out there could be very misguided. that's according to john lott, author of the book "more guns less crime, understanding crime and gun control laws." john, i welcome you on tonight. it's something i've been grappling with. i hear everyone saying it's all got to be on the table but when
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i broach the subject with a lot of different people about having someone at a school that could counter or protect the school, liberals sync at the idea that we could introduce gun noose a school setting as if a gun has never seen a policeman with a gun in his holster. how do you make this something that we're able to talk about without having people think we're gun mongers? >> i understand. its very emotional topic. one thing i point out because often when people get into this, it's these hypothetical concerns about what might go wrong. it seems to me an easy way to address that is to look at what happened in the past. people seem to think whatever the laws are right now, it's the way they've always been. it's only been since 1995 that we've had these gun free zones
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around school, during the clinton administration that was passed. prior to that, if you had concealed carry, virtually all the schools would allow you to carry concealed guns on to school property. >> when people try to get on a plane to do harm, they're all banned, the liquid,s plastic explosives. that doesn't man we don't check people for them. if we banned all guns, it doesn't mean that someone's going to get to the school -- that it can prevent an illegal -- a person with an illegal gun getting into the school. it seems like if this had been god forbid a terrorist attack, whether it's domestic or if there were to be a terrorist attack, we wouldn't be asking where the terrorists got the gun or what kind of guns did the terrorists have in we'd want to make sure someone was there to protect the children from another terrorist attack. and we don't seem to be able to face that reality. >> on the first point that you
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just brought up, the country up till friday had two of tleet worst public school shootings in world history. in fact, they both occurred over the last decade was in germany. germany has extremely strict begun control laws. people talk about bans on semiautomatic weapons. you have to undergo two psychological screening tests. both the examples given -- >> i understand. i think everything should be on the table. i don't have a gun, i don't have a bushmaster, i don't know why someone needs 30 rounds necessarily in a magazine, if you're gougt and hunting deer. you make the point these are hunting guns made to look like military guns but they don't have the features of military guns, is that your point? >> that's right.
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they ban guns based upon how they look, rather than how they function. semiautomatics, one pull of the trig, one bullet comes out. semiautomatics do lots of harm. but the problem is we have to realize that has both costs and benefits. we see the costs here but the benefits are let's say you were attacked by two criminals. would you want to have a gun where you had to manually load the bullets in? if you had a rifle had the pull the bolt back, you may not have time to do that. if you fire and miss, being able to fire a second shot may make the difference whether someone's safe or not. >> i hope one thing that's -- >> one thing i hope is on the
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table is address these gun-free zones. at some point people have to talk about the fact that essentially all these attacks in both the u.s. and europe are currently where guns are banned. >> we appreciate your perspective tonight. >> in the wake of friday's shooting in newtown, will the gun history face legal troubles like the tobacco companies did one time? mary thompson tackles that area. good evening, mary. >> good evening, joe. given the ongoing investigation into the rampage that killed 20 children and 6 adults, it's premature to say what legal action might be taken. when and if it is, it won't be an easy task. the 2005 protection of lawful commerce and arms acts pro secretaries manufacturerss are distributors and dealers from liability if others their probably. this makes it virtually
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impossible to seek damages from the gun history. another option is suing if the dealer was founding to negligent in selling the gun and if there are signs of negligence in the gunies design. you could argue that added safety features are needed. a feature like say an authorization technology in a would prevent someone from being used by someone other than the owner. and michael krause says in product liability law the rule of thumb is the product has to be defective or reasonably dangerous. the dangers are already unknown and calling them unreasonable
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may not be deemed reasonable in a court of law. >> it doesn't stop lawyers. that's for sure. >> is there any reason to believe they're worried about liability or it's more of an optics thing with them, isn't it? it's a great business for them and at this point i think they just want to exit that business -- >> it wasn't necessarily great business. freedom group actually didn't perform all that well. >> but they made money on the investment? >> they did because they paid themselves a dividend as private equity was going to do. it doesn't necessarily mean the business did well itself. that being said i'm sure they're concerned of some kind of legal issues. they've had some issues with some of those gun makers being like remington, which was well documented by cnbc. in this case it could be very difficult because unless they go back and find that the dealer sold it to mr. lanza's mother in
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a negligent matter, the prok doesn't appear to be. >> the fingerprint. >> howry brought one case that said there have been inventors that had an automatic identification that would prevent that. some people argue it would mean you have to pay $600 more than a gun and that isn't reasonable. but at the same time, if it can save a life, maybe it is reasonable. or certainly keep guns from getting in the wrong hands in nothing else. >> it would vee prevented this theoretically. >> yes. >> i got to read this. what will you look like when you're 100 years old? more importantly -- they're taking a shot at me -- what will
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your finances look like when you hit 100 in kayla tausche is about to show us a very alarming way to find out pup got to see this. [ male announcer ] you are a business pro.
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kayla? >> exactly, joe. a study at stanford last year found people who were introduced to a future version of themselves saved more money. bank of america took that research pretty literally, creating a tool called face retirement, which we were able to check out this week. it's a digital aging app that envisions retirement age for you and its costs. you can see it ain't pretty. it is not a sight that you want to see but foreseeing those costs has been problematic. in twice two third of early boomers came up short with their retirement funds. we know brokers always go to press one of two buttons, fear or greed and some critic say this is clearly fear mongering. many young people say it would encourage them to save, if for nothing else plastic surgery. joe, we wanted to show you the real probablies. we had to start from the young
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cahuna back on "squawk box." this is 107, in 2063. you just don't look very happy. >> i look like i'm on the walking dead. you know what you did? you did sort of a benjamin button. i went backwards. you started where i am now -- >> i will say your ties have gotten much better. if nothing else, your ties is gotten great, joe. >> that's the nicest thing you can say, something i'm wearing has gotten better. >> you looked pretty hideous, too. what did they do to your nose? >> they did everything. i don't think it was ak pratt. >> washington getting rid of its gm stock. was this buyout worth it? [ male announcer ] this december, remember --
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welcome back to "the kudlow report." i'm joe kernen in for larry kudlow. the treasury announcing today it's going to dump its remaining stake in general motors at a big loss, sizable loss. phil lebeau joins us again.
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12 hours later, there you are, here i am. >> it's interesting what the exact loss will be. we won't know until the government has fully unloaded its entire take in general motors the treasury department owns 500 million shares of general motors. today it is selling 200 million back to gm at 27.50 a share, that's an 8% premium compared to where the stock traded yet. 300 million shares remain. they'll be unloaded systematically by mid 2014. the treasury will not recover all the $49.5 billion that it put into general motors but it will lower its investment stake. this is a pie chart that really shows how much of a stake the different stake holders have here. the government will now have 2 -- 22% once it sells its shares back to general motors.
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they're going to have $38 billion in liquidity. the company will be underneath the t.a.r.p. pay restrictions. gm shares got a nice pop. they closed at 2718. that is the high going back to february of this year. we were wondering if they close over 27.50 that would have put them at a 52-week high. while gm is financially in a much better position now than when it went into bankruptcy in june of ' 09, the market share slides in the united states, down 1.8% compared to when they went into bankruptcy. joe? >> stick around. i feel like ralph edwards of "this is your life."
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david do you recollect have something or or just calling in to talk because you saw me on the air? >> caller: the idea that you work your full 12-hour shift is unbelievable. >> well, thanks for calling. the nice and the ice, it rhymes and everything? >> you know, i think having been able to do a little reporting late in the day, to tell you what i'm starting to hear is price terms. others reported you might see a deal. what i can tell you is that the ice exchange is very close to acquiring nyse for a deal worth rafael $33 a share. it would be two-thirds in stock, one third in cash is what i'm hearing. if you back into the math on that, you end up with a ratio somewhere around 1.7 for each ice share and add in 11 bucks in
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cash, you get to around $33 a share. that's what i'm hearing at this point, joe, for a deal that could be as soon as tomorrow morning from what we're hearing. unclear as whether the board has signed off on it as of yet. the deal value total and $8 billion. that includes debt. the nyse has been out there trying to sell itself. they almost had a deal. they had it but it didn't make it to the finish line. >> geez, david. i mean, people know you and the stock's up $6 and you've been talking for about a minute. so they don't say, well, who is this guy? what does he know? it's already up 6.
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you'll need to call in tomorrow, too. i'll be here early, david. why don't you come in? that's a yes. >> you know i'd love to be with you face to face. >> come in! >> i'll see you in the morning. >> let's go back to the bailout discussions and bring in edmonds.com senior analyst. you don't take a cynical view of this at all, michelle. you think this is all good, for the company, the taxpayers and the customers? >> look, we knew there would be some loss. i this itnk it's time for the government to get out of general motors' business and general motors is ready for them to get out. it still will take time. >> there are people that go and guy a ford because they have a principal against buying
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something where the government is a big shareholder. >> think that's true to a certain extent. >> ford clearly benefited because it didn't take the money. going forward i'm not sure that's going to make a whole lot of difference. >> i hope ford gets something out it have. what are the tax loss carried forward that gm gets to shelter future profits? do you have just a round number? >> i don't know that off the top of my head. >> it's big. >> joe, it's huge. it's about $48 billion. >> i'd like to have that if i were competing against ford. and we still are not going to be whole on this. we don't add that in to the taxpayer loss, do we? >> no. but there's no way of calculating the potential losses if the government didn't step in. people say you can't throw out of phantom argument that how would things have been worse if the government didn't step in.
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but almost everybody agreed in a general motors needed to be saved, if only to keep the entire manufacturing sector from just collapsing. almost agrees on that, joe. the question remains was this worse than letting gm collapse and, you know, there's no way of knowing for sure how much damage would have been done if gm would have gone in to chapter 7. but remember, there was no credit at that time. it would have gone into liquidation. >> there's no dollar amount you can put on moral hazard. . there's also not a dollar amount on general motors at this point on what it did to the idea that a senior debt holder is senior, did it? all those laws that we've had in this country for so long, phil, can you really count on it at this point? the union's got a pretty sweet deal, no? >> it definitely get another deal and they are very upset
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about it because they thought that was the letter of the law. and you can't go back and relitigate things and the people at general motors will say, listen, what's done is done. we didn't come in there and say the senior bond holders, they don't get as nice of a deal as somebody else. there are people, though, who are still upset about it. no doubt. >> phil has mentioned -- it's not like gm is out of the wood. do you expect this to be a vibrant, very successful company with great frocked? >> i think the u.s. market is starting to look more like europe in terms of how market share is -- before they were big pieces and now everybody is more equally divided. >> maybe it's not just about the
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u.s. they make a lot of money other places, right, phil? >> they do. china. china is huge for them and southeast asia. they're growing around the world. doesn't mean clear sailing. but it's a much healthier company than it was when it went into bankruptcy. >> michelle krk you tell me why buicks are so popular in china? >> it has a long history of strong image there. >> they're buicks. >> gm went in early. well, it's got a different image there. >> even tiger finally said i can't sell these things. >> any, appreciate it, michelle. thanks for trying to give me a straight answer. i'm sitting in the same chair i sit at in the morning. the big report on what happened in benghazi came out late last night and it seemed to go to great luns.
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>> they were mid level, right? >> yrks joe, they took the fall. from my information, i want to emphasize bend has been ongoing information. this state did and right now the people leaving the state department are victims of the government's need to cover up the larger story, that the security at the benghazi mission and it was a with the cia was about recruiting, arming, funding and transferring artists to talk einto earia.
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this is m but the story won't end here. >> the story has had trouble -- do you feel that it's sort of not gotten out as much as it o would have if -- i don't know. i only see what i read on certain things but if it was a public administration, would we be so sort of tepid in looking into these things? >> i am to the given to. >> the libyan add ven tune. >> caller: some of it is inem
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yen fem. the point of the story is the buck isn't stop anything where. >> correct. >> where is istore the pb? >> and the obama foreign policy is make amends with the winners of the arab spring, regardless of their intentions to share or be transparent. what happened in benghazi, the report from the state department, my information, joe, is not transparent. the story will come out. it's out there. history will tell. it wasn't the state department. this was a security operation. the cia is principal in this but that is the classified report and we don't have access to that. >> wow. okay. very interesting anyway, john. we appreciate your time and thanks for coming on. >> and it's a pleasure to speak to you, joe, after admiring you
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for many years reporting. >> i appreciate that very much, john. thanks. >> how much of your money is the government wasting at this point? let me count the ways. no, wait a minute. that's not what it says. let's put it this way -- i hope that the people at medicare going to have some eye popping figures for you right after the break. [ male announcer ] how do you trade?
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welcome back to "the kudlow report." i'm joe kernen. if you could pay $99 or $900 for the exact same item, you'd pay the $99, right? not the federal government. a new report from the department of health and services says that even though a standard back brace can be found on the internet for $99, the government pays $900. it's been a while. thanks for coming on tonight. i looked at your entire -- the whole number and i was surprised it was so low. what was it, $27 billion of stuff like this in medicare, is that a year? >> that's per year 2012, overpayments by medicare. that doesn't include the prescription drug program, where certainly it's a large amount of
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money as well. they just haven't gotten there yet. it's probably an underestimation because they don't look at everything. >> it's 29.6. now ten years, correct me if i'm wrong, that's like -- is that $300 billion? isn't that sort of what we're talking about trying to cut or approximately what we're trying to cut? >> it goes to the whole question of why are we even talking about raising taxes and i know you talk about it because i watch you, joe. with why are we talking about it when we should be looking at the inefficiencies of these programs? hundreds of billions in duplication and overlap. medicare the problem with the back prays can be solved by subjecting back braces to competitive bidding. when they've done that with durable medical equipment, they've saved 32% and some people in congress want to change that. i'm not sure why. because there are savings so far in that area. >> so we keep hearing about the low administrative costs -- think about paul krugman and
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what he says about medicare versus the reality of the situation. is the savings that aku from low administrative fees, is it anywhere comparable to what innovation and competition does in the private sector? >> well, certainly when you look at something like a back brace that could be $99 if you buy it off the shelf, it is what what it is. and then we say we didn't just give the brace to the person, we fitted it, we adjusted it. >> and then this green job thing in solyndra and the idea that we've tried it so many times, central planning, we tried to figure out where renewable
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energy or to get in early and suddenly natural gas comes along and it 2d for a thousand cubic feet and all bets are off. so we yet we still hear that the government needs to invest in all these things. isn't the greatest example of what happens when the government becomes a venture capital concern? >> right. the green jobs estimate, even taking the department of energy's numbers, which are clearly ib plate federal deficit comes ut to $579,000 per job created, if they really were created. in the case of these solar companies that are getting 1603 loans, they're being investigating for charging too much for their basic costs. so it may be 50% more than they're cost them in medicare. >> some of those jobs -- a clark at a bicycle shop is a green
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job? are any in the 3.9 million actually bona fide green jobs? >> probably some but if you take those that you could call real green jobs, that $580,000 cost goes up higher per job created or saved. >> i guess you don't feel like spending another $ 0 billion to find out what wrong with their investme investment, do you? >> so if. >> -- you knew it was going to happen. some people in congress blaming violent video games for the violent newtown shootings. that's next. tdd#: 1-800-345-2550 at schwab, we're committed to offering you
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today it's five days after the tragic newtown shootings temperature senator j. rockefeller entered a bill to study the impact of violent video games on children. if you're wondering why people might want to blame video games, this commercial might help explain. take a look. here now is lars larsen, nationally syndicated radio talk
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show host. this isn't new, lars, with video games. i was just trying to figure out some math and this is not directly, this isn't a scientific study. but i think they sold like 100 million copies and this who ahoc thing that has all of us -- we still haven't recovered, it's just awful what happened obviously. a hundred million, can you say it's happened once, twice, ten times, if you were to check cell phone users to brain tumors and you got ten out of 100 million, you'd immediately say that study makes absolutely no sense, there's no correlation whatsoever. why in this case do we need to study to make sure it's not the video games that are causing people to go and murder children? >> joe, i don't think we need to do the study and i'll tell you why. i think it's a distraction and i don't think there's much evidence. let me do the math the way we do
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it. 3 million or so graduate every year, another 6 million are in middle cool. that's 18 million kids. assume half of them play video games all the time, hours a day. assume they're playing violent video games. they're pretending. well, kid have been pretending for a long time. but if nine or ten million kids are playing these games all the time and ten or 12 of those kids -- of those 9 million kids go out and do crazy, outrageous things, criminal things, they go out and commit crimes or murders, i don't see the connection there. i don't even see the correlation there. it o would be like saying all the mass killers in american society started out as children drinking milk. yeah, they did but there's no causative factor there. i think people who believe that these video encourages or incites people to go out and kill people, it's ridiculous. people have been saying it about
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movies for a long time, rock 'n' roll, certain kind of rock 'n' roll. i'm sure there's been all kinds of forms to blame different times of media. i find it a little on the ridiculous said. on the other hand, smart people will go and try to show a correlation that 100% all these killers played video games, they'd say 100% of these killers in their teen-age year wro like. >> we would have to look at tv obviously. hip hob -- hop. unless it's downton abby, you
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will never see it. so there's 300 million guns that are out there, i don't know, any way you ever can bring them all in and melt them down and -- >> no. nor should you try to, joe. the second amendment is there for americans to protect themselves against a tyrannical government. >> that will never happen. someone the other day told me that will never happen again. >> i'm sure the people of sarajevo thought that, too. >> nazi, germany. i don't know. video games, i don't know that i'd start there. lars larsen, appreciate your opinion tonight. that's it for tonight. thanks for watching. [ male announcer ] this december, remember --
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